Cognitive Biases

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Livewire Exclusive

For decades, the prevailing view of financial markets was one of rational actors creating efficient prices. In recent years, particularly in the wake of the GFC, investors have increasingly adopted a very different view of how markets operate. Loss aversion bias, anchoring, and herding (among others) have all become popular... Show More

Livewire Exclusive

Each year Dalbar, a US based research firm, conducts their Quantitative Analysis of Investor Behaviour. The study looks at how investor decisions to switch in and out of mutual funds impacts the returns that they achieve. Intuitively investors know the principles of buying low and selling high, however, Dalbar’s research... Show More